Which ETF Is Better For U-Bulls, URA Or The New Pure-Play URNM?

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About: Global X Uranium ETF (URA), URNM
by: Harrison Schwartz
This article is exclusive for subscribers.
Harrison Schwartz
Event-driven, research analyst, newsletter provider, ETF investing
Summary

As expected, the Trump uranium task force recommended domestic uranium purchasing and sent energy fuels and peers up 15-20%.

There is a new uranium ETF called URNM that offers a more pure-play on uranium miners compared to URA.

Comparing the two, URA has lower risk since it has many non-uranium mining holdings which generate greater cash flows.

While it is riskier, URNM is likely to offer much higher returns with a rally in the price of uranium.

If you stay prudent and limit URNM's position size and offset with high cash flow investments, URNM is a better pick.

(U.S Nuclear Regulatory Committee)

Exchange Trade Concepts recently released a new, and very well-timed, ETF by the ticker URNM (North Shore Global Uranium Mining ETF) which has higher exposure to the pure-uranium miner